SK Hynix commits 54 trillion won to new DRAM and NAND fabs in South Korea

SK Hynix disclosed a 54 trillion-won (about $38 billion) plan to build two new semiconductor fabs in South Korea, one in Yongin for high-bandwidth memory and other DRAM, the other in Cheongju for NAND flash. The Yongin site will receive 35.2 trillion won, while the Cheongju plant will be funded with 19.1 trillion won. The first cleanroom is slated to start output by June 2029.

Company officials said the investment reflects a thorough review of market demand and aims to capture growth from the AI data-center boom. Analysts note that soaring memory prices have boosted earnings for SK Hynix, Samsung and Micron, but also raised consumer device costs. With capacity not arriving until the late 2020s, price relief is unlikely before the end of 2028, according to Counterpoint Research.